Advertisement

LISS 2012 pp 453-461 | Cite as

How Can High Speed Railway Survive the Competition from Civil Aviation?

  • Hongchang Li
  • Xujuan Kuang
Conference paper

Abstract

With the implementation of Medium and Long Term Railway Network Plan 2008, Chinese high speed railway gradually came into being. In order to cope with competition from high speed railway, civil aviation put forward comprehensive strategies including cost, big-client, on-web check-in, price and etc. Under such a circumstance, it’s of great importance for high speed railway to adopt corresponding strategies to improve its core competence. High speed railway and civil aviation have their comparative advantages as to distance, speed, price, safety and energy consumption and etc. Time model shows that, within 1,000 km, high speed railway dominates market share because of its time saving characteristics, while above 1,000 km, civil aviation has comparative advantage. In order to improve consumer’s surplus and gain market competition edge, high speed railway can take strategies of product, price, place, promotion, resource, competition and cooperation, knot and informationization.

Keywords

High speed railway Civil aviation Market competitiveness 

Notes

Acknowledgments

Thank railway expert of the World Bank, Mr. David Burns for his helpful advice. The paper is sponsored by National Science Foundation Project (No.: 41171113) and the key project of logistics management and technology lab.

References

  1. 1.
    Antonio Estache, Gines De Rus (2000) Privatization and regulation of transport infrastructure. The World Bank, Washington, D.CGoogle Scholar
  2. 2.
    Daughety AF (1985) Analytical studies in transport economics. Cambridge University Press, CambridgeGoogle Scholar
  3. 3.
    Rong Chaohe (2002) Western transportation economics. Economic Science Press, BeijingGoogle Scholar
  4. 4.
    Zhao Jian, Su Hongjian (2010) Value of travel time saving and transportation mode choice. Compr Transp 32:60–65Google Scholar

Copyright information

© Springer-Verlag Berlin Heidelberg 2013

Authors and Affiliations

  1. 1.School of Economics and ManagementBeijing Jiaotong UniversityBeijingP.R. China
  2. 2.Department of Economics and ManagementCivil Aviation Management Institute of ChinaBeijingP.R. China

Personalised recommendations